It is STOCK market, where you can invest less amount and gain good profit from it.
Suppose you buy a company’s stock, at that time price of the stock was -2000$, and after some time stock price increased and reached up to 4000$, so now you can sell your stock and increase your profits from the stock market.
For more instructions & help, you can get information from an advisory firm like MMF Solutions.
Investment means employment of fund with the aim of achieving additional income is called investment.
Tips for investing:
1.Set your goals
2.Know your risk profile
3.Know how you want to invest your money
4.Do your homework
5.Research different companies’ investment options:
6.Research the companies themselves
7.Get the right advice
Investment means employment of fund with the aim of achieving additional income is called investment. The investment is very helpful for the meet the future requirements and to safety for the future life. The additional income, liquidity, timeliness, safety, etc
you buy in to a company with hopes of your money to grow. remember good big companys grow and that is how you make money, but if they don't grow then your investment goes down.
Take radio shack for example, the stock keeps going down and down, and a great stock is samsung, it is very expensive, a lot of growth!!
there is a lot of useful info on the web, 100's of useful sites.
Hi there,
First welcome to the world of investing. As a starting point I'll explain the difference between an investment and stock trading. An investment consists of putting monetary funds into a company with the expectation of growth over the long term. The trading of stocks (especially day trading) is more frequently a short term investment when looking for a quick profit. For instance, lets say you invested in Apple two days before they announced the iPhone 6. Essentially you are betting on how the stock will do in the short term. If the announcement is successful, the stock price will in turn reflect the results. A day trader would realize their profit and get out of the stock a few days after the initial purchase. As an investor, you would be looking at the long term. So following the announcement you may end up holding shares in Apple for 6 months to a year, or longer. Investors are looking for positions that will lead to fruition in the long term. When it comes to investing their are both pros and cons. Pros to investing ultimately include larger returns over time. Cons include both risk factors and length of time until profits are seen. Money put into a publicly traded company is not insured by the FDIC, like money put into a savings account. The return can be much greater than an average banks interest rate, but the risk is much higher. Depending on the investment, it may be a long time until you make money. At points you may be down in certain positions and end up holding them longer than expected until they lead to gains.
My advice:
As a beginner to investing your best bet is to start with mutual funds. A mutual fund consists of a number of funds and companies traded publicly. When choosing a mutual fund it is in your interest top find one that has outperformed in the past 3 months to past year. A mutual with a positive track record is generally a safe investment. Mutual funds are safer than investing in a single equity, as they automatically add diversification to your portfolio. There are different levels of mutual funds. Small-cap, Mid-cap, and Large-cap. I would recommend a Mid-cap Mutual Fund, as it is still volatile, but a less risky investment than a Small-cap. Large-cap funds are long term and the safest when investing. To invest in a mutual fund you must have at least $1,000 in capital. I recommend trading through Charles Schwab. They offer low-commision and do not charge a fee when opening a new account.
If you choose to invest in a single stock, make sure to do your own due diligence on the company. There are many misinformed people out there that act as either pumpers or dumpers trying to move the stock price. Make sure before choosing a stock that you verify information about the company through your own research.
A basic understanding of stock trading:
Here is an example
_______Invest The Money_______
Say you have $200 you would like to invest into a publicly traded company.
In this scenario the company we will use is MVIS. The stock price to purchase shares in the stock is $2. So if you have $200 to invest than you can purchase 100 shares of stock.
_____How you profit_____
In order to profit from your trade, the stock must have an upward shift in price.
Lets say that MVIS, over a period of three months doubles in price. Now the stock is worth $4.00 per share. You invested $200 at $2/per share. So if the stock is now $4, than the market value of your shares is $400. You have made a $200 profit. To put it simply, the more money you put into a stock the more you make. Every time MVIS doubles you make a profit as large as your initial investment. If you had instead only bought 50 shares at $2, then at a $4 stock price you would only have a position valued at $200. This is because 50 shares would have cost you only $100 instead of $200, therefore you can only make $100 every time it doubles.
Obviously there is much more to investing as it can be very complex, but these are essentially the basics.
Hope this helps!
* Investment is the commitment of money or capital to purchase financial instruments or other assets in order to gain profitable returns in the form of interest, income, or appreciation of the value of the instrument. Investment is related to saving or deferring consumption.
* You need to understand what investment options you have, Learn how to analyze Commodities or stocks (for quality, valuations, financial strength, growth potential, etc), as well as how to avoid investment scams and pitfalls, and where to find information.
